On May 18th, during the 128th session of the Ministers of Foreign Affairs of the Council of Europe, Cyprus and Andorra have officially signed a Double Taxation Treaty (DTT). Until recently, Andorra was among the few European countries with which Cyprus did not have an agreement on the avoidance of double taxation.
In accordance with the statements of the Ministers, the text of the agreement signed between the two countries will contribute to the further development of economic relations and cooperation of the Republic of Cyprus and the Principality of Andorra on taxation issues.
The agreement between Cyprus and Andorra is based on different projects, including the minimum requirements set out in the OECD Action Plan on Base Erosion and Profit Shifting (BEPS). In addition, there is an agreement to provide financial and other information in accordance with the relevant Article of the Model Convention of the OECD.